They can remove the on-ramps to the traditional banking system. For example, in Washington state, there are only a few "allowed" crypto exchanges. If I want to transfer US dollars to the exchange, buy/sell/trade it for crypto, I can only use those exchanges. End of the world? No. But, it definitely makes it painful if I want to sell some crypto for US dollars. (or buy crypto using US dollars)
They can remove the on-ramps to the traditional banking system. For example, in Washington state, there are only a few "allowed" crypto exchanges. If I want to transfer US dollars to the exchange, buy/sell/trade it for crypto, I can only use those exchanges. End of the world? No. But, it definitely makes it painful if I want to sell some crypto for US dollars. (or buy crypto using US dollars)